T-Mobile US Inc (TMUS) Extends Service To Canada And Mexico At Zero Additional Cost

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Hot on the heels of its transparency report release, T-Mobile US Inc (NYSE:TMUS) is eliminating extra charges on international calls in Canada and Mexico.

T-Mobile US Inc (NYSE:TMUS) is trying shaking up the wireless industry, coming up with mobile coverage that blurs geographical boundaries North America. The so-called Mobile without Borders remove international call charges for calls made from Mexico and Canada to the U.S.

This move will certainly ruffle feathers in the wireless industry.

The deal

With its Mobile without Borders offering, T-Mobile US Inc (NYSE:TMUS) will be letting subscribers enjoy free calling, texting and data whether they are in Canada or Mexico. T-Mobile already enables customers to enjoy free data when they travel to Spain.

T-Mobile US Inc (NYSE:TMUS)’s Mobile without Border will save subscribers from being subjected to costly international calling rates. The company has also ensured that its customers traveling across North America to Mexico or Canada will enjoy 4G wireless speeds.

Availability

T-Mobile has made the extended wireless coverage available for Simple Choice subscribers on both postpaid and prepaid terms. Additionally, business clients will enjoy the extended coverage free of charge for the first 10 lines they hold. However, an additional cost of $1 a month will apply to business customers for each extra line. T-Mobile’s expanded North America coverage will start on July 15.

Move supported by industry data

Don’t think that T-Mobile US Inc (NYSE:TMUS) is making a blind move with its free international calls from Canada or Mexico. The company has figured out that a significant portion of international calls to the U.S. come from Canada and Mexico. To put it into perspective, 35% of all international calls come from the two countries. Additionally, the company figured out that a whopping 70% of the international small business traveling from the U.S. was to Mexico and Canada.

Clearly, T-Mobile has confidence that international calling data support its Mobile without Border strategy.

Disrupting the industry

What is not in doubt is that T-Mobile US Inc (NYSE:TMUS)’s move with free international calls from Mexico and Canada will disrupt the North American wireless industry. It only seem wise that Sprint Corp (NYSE:S), AT&T Inc. (NYSE:T) and Verizon Communications Inc. (NYSE:VZ) will have to react to the move.

Neha Gupta

Neha Gupta has been in the financial space for over six years now. Gupta earned her MBA degree from Symbiosis Centre of Distance Learning in 2009 and her passion for finance led her to pursue Chartered Financial Analyst (CFA) course. She has successfully completed Level II of her CFA. She is a veteran in article writing, which is depicted in her numerous pieces published on SeekingAlpha, Nextiphonenews, InsiderMonkey, MarketWatch, and Techinsider. Her crisp and eloquent writing finds its best place in Researchcows, where emphasis is given on developing rich content for various websites, products, business plans, trainings, and book writing.

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